Alvin ISD Bond Election FAQs

BOND OVERVIEW

What is a school district bond election?

School districts hold bond elections to seek approval from voters to sell bonds for the purpose of generating revenue. Bond revenue can only be used for new construction, renovations to existing facilities, land acquisition, equipment, technology, and other approved items associated with providing school district facilities.

Can the revenue from selling bonds be spent on personnel or other district operational costs?

No. State law does not allow revenue from bond sales to be spent on personnel or operating costs such as utility bills, supplies, fuel, or other costs associated with daily operations of the District.

Is it true that if the bond issue should fail, the state will provide funding for new campuses?

No. When a school district bond issue is passed, the State may provide support to the School District that will lessen the tax burden. When a bond issue does not pass, the State does not provide any additional funding or support for the construction of the project. If the bond issue passes, Alvin ISD will seek state funding and support associated with a successful bond issue for projects included in the bond issue.

ALVIN ISD BOND DETAILS

When & where will the Alvin ISD bond election be held? Who can vote in a school bond election?

The bond election will be held on November 3, 2015, and registered voters who reside in Alvin ISD may vote in the election. The voter registration deadline for the November 3 Alvin ISD Bond is October 5, 2015. Early voting will be available between October 19 – 30.

The following list of polling places and hours of operation are being provided for the convenience of voters: Registered voters that are eligible to vote in the Alvin ISD Bond Election can select any early voting location or election day polling place. List of locations: http://www.alvinisd.net/bond2015

If the bond being proposed is approved by the voters in November, what is the best estimate for construction time and schedule for the opening of facilities?

Bid opening for construction projects would likely begin in mid-2016 as design work progresses. The timetable for construction will depend in large part on the availability of land, materials, and an adequate construction work force. Typically, the completion of an elementary takes about two years, while a new junior high takes approximately two-and-a-half years.

How will the $245M be used?

The funds will be used to complete the following 13 projects identified by the Citizen’s Advisory Committee

New Elementary #17

New Elementary #18

Replacement of Alvin Elementary School

New Elementary #20

Land for Elementary #21

New Junior High #7

Design for Junior High #8

New Career and Technical Education Center (Phase 2 of 2)

Alvin High School Auditorium Upgrades

Memorial Stadium Upgrades

Land for High School #4

Central District Stadium

Satellite Transportation Facility

Will local contractors be allowed to participate in the renovations or construction of new schools proposed in the bond?

Certainly. The School District will follow state law and local policy in seeking and accepting bids and proposals for professional services related to all areas of the bond projects.

What if no bond monies become available?

Alvin ISD will likely gain more than 5,088 students over the next 5 years. Many of our schools are already at, near, or over their designed capacity. Without new schools to accommodate additional students, the use of temporary modular classrooms, repurposing areas of each campus to serve as “classrooms”, and possible class size waivers are common solutions. Temporary classrooms are costly to purchase and make ready for students (over $70,000 each classroom). To fund the purchase of temporary classrooms, budget dollars have to be redirected from other school budget needs. The additional student population will cause a significant strain on the core campus facilities, such as restrooms and cafeteria facilities.

CITIZENS’ ADVISORY COMMITTEE

Did the School District seek community input before identifying the bond projects being requested?

Yes. A Citizen’s Advisory Committee, comprised of citizens from throughout the School District, worked for five months before making project recommendations to the Alvin ISD Board of Trustees. In previous years, the CAC process consisted of individuals that either were asked to serve or personally requested to be on the committee.

During the 2015 CAC process, Alvin ISD held a public information meeting at Manvel High School. The entire community was notified in multiple ways including advertisements in the local papers. All community members interested in participating were invited to serve as a member.

In addition, all CAC meetings were opened to the public. Community members that attended were able to provide thoughts, feedback, and ask questions throughout the process.

Materials and meeting notes from each CAC meeting are still provided on the Alvin ISD website: http://www.alvinisd.net/CAC

Who recommended the 2015 bond package?

The Alvin ISD Citizens’ Advisory Committee (CAC) recommended this bond
package. The CAC consists of 50+ members of our community including business leaders, parents and elected officials and reflects the geographic diversity of our school district and communities. The committee began meeting in February 2015. The Committee’s investigation of district needs was comprehensive, including a thorough demographics analysis, an assessment of all district facilities, and a detailed analysis of projected enrollment growth. The committee’s conclusions and recommendations were presented to the Board of Trustees on August 11, 2015. Meeting notes and materials are available for review on the Alvin ISD website. Link: http://www.alvinisd.net/CAC

What factors drove the Citizen’s Advisory Committee to recommend a bond election be called by the Board of Trustees?

Based on percentage growth, Alvin ISD is one of the fastest growing school districts in the greater Houston area. The latest Templeton Demographics Report is projecting that in the next ten years; Alvin ISD will grow an average of 1,000 new students a year, resulting in approximately 10,000 new students in that time period. A five-year projection indicates that Alvin ISD will grow by approximately 5,088 students by the spring semester of 2018. Aging, existing facilities, and program needs were also studied extensively by the CAC.

Are our schools overcrowded at this time?

Not all of them, but more than half of the campuses in the coming school year will have exceeded their program capacity. Approximately 1,000 new students are anticipated in the 2015-16 school year. Also, the School District currently has 96 classrooms that are located in temporary buildings.

When did the Citizen’s Advisory Committee (CAC) make their recommendations to the Alvin ISD Board of Trustees?

Citizen’s Advisory Committee members Mr. David Becker, business owner, and Timi Forrest, parent, presented the committee’s recommendations to the Alvin ISD Board of Trustees on August 11, 2015. Board Meeting Video

ALVIN ISD TAX RATE & FINANCIAL INFO

How does the tax rate of Alvin ISD compare to similar school districts in the area?

The chart provided below gives the overall tax rate of Alvin ISD as compared to 6 local districts as well as a comparison to 9 Houston area districts that are also considered fast growth. The amounts are rounded to the nearest penny and are based on the latest information available at the time this document was prepared, the 2014-2015 school year.

The graph below shows all districts in the state that have added over 7,500 students, representing at least an increase of 35% or more, since 2004.

What is the tax rate history of Alvin ISD?

School tax rates are affected by several factors such as state funding and changes in district value. The specific tax rate history for Alvin ISD is as follows:

Alvin ISD passed a bond issue in 2013, yet the tax rate has not gone up as much as anticipated, why?

The Interest & Sinking Tax Rate (I&S) can only be used to pay bonded debt. As the property values in the School District increase, the I&S tax rate can be reduced and the District can still generate enough revenue to cover annual bond payments. As a fast growth district, Alvin ISD has a history of communicating the maximum potential tax impact to ensure transparency; however, historically the final rate has been significantly less.

Does the state provide funding for bond construction projects in Alvin ISD?

Yes. For many years Alvin ISD has received state funding from the Texas Instructional Facilities Allotment fund (IFA) and the Existing Debt Allotment fund (EDA). The total amount of state assistance for bond repayment has been approximately $7.5 million each year. State funding for construction projects is a year-to-year decision and Alvin ISD cannot guarantee that the amount received by the District will increase if a bond issue passes in 2015.

How would the proposed bond impact individual homeowners in Alvin ISD?

The maximum tax rate impact of this bond election is projected to be no more than 8.3 cents per $100 of valuation or $6.92 per month on an Alvin ISD taxable home value of $100,000. There will be no tax impact for seniors 65 years and older who have the appropriate exemption.

Does the proposed bond (if approved) affect the tax rate of property owners age 65 and over?

Homeowners aged 65 and older are protected from tax increases by a ceiling on their rates. Unless the homeowner makes significant improvements that increases the valuation of the home, the school tax bill is set at the ceiling for the life of the homeowner. Therefore, the 65-or-older homeowner will not see an increase in the school taxes with passage of the bonds.

Can Alvin ISD afford the proposed 2015 bond referendum?

For many years, Texas imposed a restriction that total outstanding debt for a school district could not exceed 10% of the total assessed property value. This law no longer exists, but 10% is still used as an informal “guideline” for school districts. Based on bonds issued as a result of prior referenda, Alvin ISD’s total debt as a percentage of current total assessed property value is 7.3%. The District bond rating is AAA with the Texas Permanent School Fund Guarantee, which is the highest bond rating available.

Can all of the construction projects be accomplished within the $245,000 budget?

Even though the construction industry is experiencing high rates of inflation, consultants and our Facility Program staff are confident that projects can be completed within the budgeted ranges. The proposed projects will be designed with economy in mind, but will still be of a style and quality worthy of community pride.

Alvin ISD has a history of providing facility projects on time and under budget. The 2015 Alvin ISD Bond Election is presented to the community for $245M. The total dollar amount for the 13 identified projects is $285M.

As the Alvin ISD Board of Trustees discussed the recommendation of the CAC, there was a unified interest in contributing additional funds to reduce the amount of the bond passed to ultimately minimize the impact to tax payers. Following the discussion, the Trustees decided to contribute $12.6M from previously authorized bond funds. In addition, Trustees allocated approximately $28M from maintenance and operations funding sources to again reduce the amount specified in the 2015 Alvin ISD Bond Election.

What if I want more information?

You can call the Alvin ISD administrative offices at any time for more information, or go online at http://www.alvinisd.net/bond2015. In addition, for your convenience, you can also call our district Communications Department at 281-245-2463. Presentations providing more information on the bond package are being made throughout the District. If you have any questions, click Let’s Talk!